The manager of a seafood restaurant wants to establish a price on shrimp dinners. Experimenting with prices

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The manager of a seafood restaurant wants to establish a price on shrimp dinners. Experimenting with prices produced the following data:

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a. Plot the data as a scatter plot, determine the regression equation, and plot the regression line on the same graph as data. (You may use Excel’s “ =slope(RangeY, RangeX)” and “=intercept (RangeY, RangeX)” to obtain the regression coefficients b and a, respectively, where RangeY is the range of Excel cells containing they values and RangeX is the range of Excel cells containing the x values. Alternatively, use Trendline in the Layout menu.)
b. Determine the correlation coefficient and interpret it. (You may use Excel’s “=CORREL (RangeY, RangeX)” to determine r).
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Operations Management

ISBN: 978-0071091428

4th Canadian edition

Authors: William J Stevenson, Mehran Hojati

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